Sludge Woes Stick to Toyota

Toyota Motor Sales USA Inc., facing thousands of customer complaints about engine-damaging oil sludge, began notifying about 3.4 million Toyota and Lexus owners by letter earlier this year that the company would provide extended warranty coverage for engine failure or other problems caused by sludge.

The warranty extension, one of the biggest goodwill campaigns by the auto industry, was intended to head off concerns that Toyota’s legendary engineering somehow had turned out a large number of defective engines. Toyota pledged to cover engine damage caused by sludge for eight years, with no limitation on mileage.

But many owners of vehicles covered by the campaign have contacted The Times, asking why they have not received their letter.

One of them, Heddy Herbert of Sherman Oaks, owner of a 1997 Toyota Camry, said she has waited anxiously and called the company to demand a letter when one had not arrived weeks after the campaign was announced.

Herbert, who offers scathing reviews of the company’s customer service, said she has observed blue smoke bellowing from her Camry when she starts it when the engine is cold.

Toyota, hoping to avoid a logjam with its letter campaign, said it staggered the mailing and that about 75,000 owners have yet to be notified.

The decision to not mail all the letters at once was based on the logistical problem of handling that many outgoing letters and the incoming calls they would generate, said spokesman Mike Michels.

The consumer complaints that triggered the extended warranty allege that engines were damaged when oil thickened to the consistency of jello, starving moving parts of lubrication.

Throughout the campaign, Toyota has insisted that the problem is caused by customers’ failure to change crankcase oil at least every 7,500 miles, as recommended in their owners’ manuals.

But some owners insist that they have routinely changed oil and that the sludge must be forming because of some defect in the engine design. The problems have occurred in the company’s 3.0-liter V-6 and 2.2-liter four-cylinder engines.

Michels, spokesman for Toyota’s North American headquarters in Torrance, said the company has not altered its assessment that the failures are caused by owner abuse. Michels said the problem is limited to the U.S. and Canada, though the engines are used worldwide. Although it took some prodding to get it started, the Toyota campaign is an example of the over-the-top customer satisfaction effort that makes many owners loyal.

Not only is the company covering engine damage, but it also is providing coverage for towing, storage and documented past repairs, even those not done by a dealer.

Nonetheless, some owners complain that Toyota is not owning up to the reality that their engines have a defect that is making them more susceptible to oil sludge than is normal for gasoline engines.

A Lexus dealership technician contacted Your Wheels earlier this year and said he is seeing a steady increase in the number of engines sustaining major damage.

“They all seem to fail at 30,000 miles and we keep getting more and more,” he said.

The problem is causing serious anxiety for many owners.

“How can I protect my ’96 Camry LE,” wrote Carol Yates. “I am so worried I bought the wrong car.”

If there is a problem, it seems to be affecting a relatively small number of Toyota owners.

It is important for Toyota owners to change the oil as recommended, or even more frequently. Many car owners routinely change oil every 3,000 miles as an insurance policy against costly engine failures.

Finally, Michels recommends that if Toyota owners are concerned or have questions, they do not need the company letter to act. They can discuss the problem with their local dealer or call the company. Toyota owners can call (888) 802-9436 and Lexus owners can call (888) 654-6421.

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Ralph Vartabedian cannot answer mail personally but responds in this column to automotive questions of general interest. Please do not telephone. Write to Your Wheels, Business Section, Los Angeles Times, 202 W. 1st St., Los Angeles, CA 90012. E-mail: ralph.vartabedian@latimes.com.